If the demand curve over a certain range is "price elastic," this implies that the:
a. percentage change in the quantity demanded exceeds one.
b. percentage change in the quantity demanded exceeds the percentage change in product price.
c. percentage change in price exceeds the percentage change in quantity demanded.
d. product is non-reactive.
e. product has no good substitute.
b
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Let C = 550 + 0.8y and I = 75. Assume no government or foreign sectors. If investment increases by 100, the equilibrium output increases by a total of
A) 60. B) 175. C) 500. D) 800.
Refer to Scenario 12.2. In this game, Eliza's tough strategy would lead to her preferred equilibrium of
A) Eliza donates a kidney and Jerome does not. B) both Eliza and Jerome donate a kidney. C) Jerome donates a kidney and Eliza does not. D) neither Eliza nor Jerome donates a kidney.
The form of public debt that matures in 30 years is the
a. Treasury certificate of deposit b. Treasury bill c. Treasury note d. Treasury bond e. U.S. savings bill
Consumption possibilities, during a given time period, refer to the
A. Amount by which a country can expand its production possibilities by engaging in international trade. B. Maximum amount that a country can produce if it imports and does not export. C. Maximum amount of imported goods and services that a country can consume. D. Alternative combinations of goods and services that a country could consume in a given period of time.